Gaming and Leisure Properties asserts that the company is “well positioned” to extend its long-term record of shareholder value creation, in addition to achieving further growth through portfolio expansion and diversification.
This comes as the company, which had all 50 of its properties open following the end of the year’s third quarter from October 28, 2021, saw revenue decrease through the three months ending September 30.
This came via a 2.8 decrease saw revenue close the quarter at $298.7m (2020: $307.6m), with net income up 17.3 per cent to $149.1m (2020: $127.1m), with adjusted EBITDA increasing 4.3 per cent to $276.7m (2020: $265.2m).
Peter Carlino, chair and CEO of GLPI, commented: “The strong earnings growth GLPI achieved in the first half of 2021 continued with another period of consistent earnings in the third quarter.
“Our third quarter net income and AFFO exceeded the comparable period in 2020 by 17.3 per cent and 6.4 per cent, respectively, demonstrating our ability to consistently build value by working creatively and collaboratively with existing tenants through the pandemic, while establishing new relationships with leading regional gaming operators.”
For the first nine month of the year, revenue closed at $918m, representing a 7.6 per cent uptick from $853m, as net income rose 23.2 per cent to $414.4m (2020: $336.3m), and adjusted EBITDA closed at $819.4m, up 6.2 per cent from $770.9m.
“GLPI’s high quality tenant roster continues to highlight the strength and resiliency of regional gaming markets as our operators continue to enjoy strong consumer demand and elevated margins,” Carlino continued.
“These factors, combined with several additions to our portfolio over the past year, contributed to the strength of our third quarter AFFO along with the trigger of certain rent escalations.
“Furthermore, our four publicly traded tenants, which in aggregate account for 99 per cent of our annual rent contributions, have significantly bolstered their balance sheets and enhanced their liquidity since the onset of the pandemic.
“Our record of consistent value creation also reflects our ongoing commitment to balance sheet strength which has positioned GLPI as an investment grade issuer.
“Looking forward, we believe GLPI is well positioned to deliver further growth as we pursue additional portfolio expansion and diversification while benefiting from the ongoing strength in regional gaming markets, with many of the operations at GLPI’s properties continuing to generate record results.
“Taken together, these factors support our confidence that the company is well positioned to extend its long-term record of shareholder value creation.”